If you define an economy as being the production and
consumption of goods and services inside a jurisdiction such that a rough
balance exists between the levels of production and consumption, you cannot
call Israel 's
financial operations an economy.
That is so because Israel produces very little and consumes
a great deal more, with the difference between the two being made-up by
charitable donations from outside the jurisdiction; by false compensation
claims extorted from the Europeans by the American Congress on behalf of
Israel, and by loans that end up being forgiven by the same Congress under the
guise of contributing to Israel's security.
Thus, if you avoid talking about Israel as if it had a real
economy, and talk about it instead as the worldwide charitable effort that it
is, you'll know that the statistics which would mean something when applied to
a normal economy, mean something else or nothing at all when applied to
Israel's operations. Yet, as absurdly as it sounds, economy is what Israel 's setup
is often called, a habit that came about for reasons that might make sense in
politics but not in the realm of economics.
Not to break with that tradition but acutely aware of the
vacuity that is Israel's production machine, William A. Galston wrote an
article on the subject, shedding much light on the reality of what is going on
while taking into account the political sensitivities that come with the
territory. He wrote: “How Bureaucracy Bogs Down Israel 's
Economy,” an article that also came under the subtitle: “In the U.S. it takes
six working days to start a business. In Israel : 34.” It was published on
June 3, 2015 in the Wall Street Journal.
Here is the passage that exposes the political sensitivities
of talking about this subject, yet says something about the true nature of
Israel's operations: “Most Americans know little about Israel's economy, and
most of what they think they know is shaped by the country's high-tech sector.
But Israel 's
economy is more varied – and its overall performance more troubled – than
glowing reports about the latest IT breakthroughs convey.”
Of course, most Americans heard nothing about actual
instances of Israeli breakthroughs in the realm of Information Technology (IT)
either because there has been none. Those that follow the developments of this
industry would be aware of the giant leaps happening in the neighboring Arab
countries because every time that there is a worldwide competition conducted by
the giants of the industry – American and otherwise – Arab students make it as
finalists in large numbers, and never did a single Israeli share that honor as
of now.
Galston goes on to use statistics that apply to a normal
economy – telling not of the level of production in Israeli goods and services,
but of the level of donations contributed by the worldwide donors who fill the
coffers of the artificial concoction they call Israel. He then reaches this
conclusion: “This poor performance extends virtually across the board … Israel looks
mediocre in manufacturing and finance, and woeful in construction, trade and
services. Agriculture is the only sector in which Israel approaches the [level of]
developed economies.”
The true explanation for all this is that agriculture is the
sector which remains in the hands of the Palestinians, the original inhabitants
of the Land of Milk
and Honey – part of the Fertile Crescent that the Jews falsely claimed was a
desert made to bloom by them who were textile workers, jewelers and musicians
from Eastern Europe .
As to manufacturing, finance and trade, the truth is that Israel has no
manufacturing to speak of. But wealthy Jews around the world own shares in
companies which are situated in their respective countries. They establish an
address in Israel to make it
look like their business overseas is based in Israel . Using and manipulating the
tax code of each country, they end up paying little or no taxes in those
countries, diverting the money to Israel .
The author further explains: “In the long run, the economy
rests on the performance of its educational system. And here too, Israel
faces structural problems … On major international exams; the performance of
Jewish Israeli high-school pupils is below average.” No Einsteins coming out of
there in the near future.